Tax Revenue Only Grows in Single Digit in the First Half of 2023

JAKARTA. Minister of Finance Sri Mulyani revealed the realization of tax revenue until the end of June 2023 or throughout the first semester of 2023 reached IDR 970.20 trillion.

With this realization, it means that tax revenue only grew 9.9% compared to the same period in 2022. Thus, this is the first time that tax growth this year has been at a single-digit level.

The growth rate is also equivalent to 56.47% of the target set in the 2023 State Budget.

With a growth rate of 9.9%, it means that the realization of tax revenue is still in the trend of normalization or decline.

Because if we observe further, during January-June 2023, the growth rate of tax revenue was 46.7%, 40.4%, 34.0%, 21.2%, 17.6%, and 9.9% respectively.

According to Sri Mulyani, the decline was caused by two things. First, there are several policies that only apply in 2022, so they don't have an impact on tax revenues in 2023.

One of them is the Voluntary Disclosure Program (VDP) which contributes to tax revenue only in 2023 because it only applies in that year.

In addition, the decline in commodity prices also resulted in a contraction in Oil and Gas Income Tax of -2.86% and Income Tax Article 22 on Import and Import Value Added Tax (VAT) of -2.4% and -0.4%, respectively.

In detail, the realization of tax revenue in the first semester of 2023 consisted of non-oil and gas income tax revenue of IDR 565.01 trillion or grew by 7.85%, VAT and STLG of IDR 356.77 trillion or grew by 14.63%.

Then, the revenue of Land and Building Tax (PBB) and other taxes amounted to IDR 7.5 trillion or increased by 54.41%, while oil and gas income tax contracted by 3.86% to IDR 40.93 trillion. (ASP/KEN)